Facts Consumers Should Know Before Using A Credit Repair Company (Part 2 of 2)
NON-DISCLOSURE OF METHODS: One of the most troubling issues
with 95% of large credit repair firms (especially law
firms) is their non-disclosure of dispute tactics and
methods.  As a consumer it is vital that you are made aware
of the methods they are using in dealing with your
creditors, collections and the credit bureaus.  If the
organization or law firm violates laws or makes errors (I
have witnessed both) you could be held liable for their
negligence.  In addition, this can actually make your
credit worse and create problems which are very difficult
to clean up.  Anyone doing credit restoration for you
should disclose "what" they are doing since you are paying
for a service.  If they won't, you better run the other way
as they could be pouring gas on a blazing camp fire.
 
LOCATED IN HOME STATE: This is one of the most overlooked
keys to successful third party credit restoration which
consumers miss.  It is absolutely vital when having someone
else do your credit restoration work for you that they
operate within your home state.  Here's why: if a credit
repair company or law firm mails dispute letters or
correspondence on your behalf from another state, that mail
will be postmarked from that state.  If the credit bureau
catches this they can (and in many cases will) mark the
dispute as frivolous and flag your credit file.
 
It is known that many Credit Repair Companies and Law Firms
will resort to or create a method to avoid and out of state
postmark in order to get disputes postmarked from the
consumers' home state (potentially violating postal
regulations).  For example.  If they are in NY and you are
in CA they will first have to mail your dispute letters
inside an envelope from NY to CA.  Once in CA someone opens
the envelope and then mails your dispute letters from CA so
they postmarked from your home state.  I am not an expert
on postal regulations but had one postal employee tell me
the concept sounded extremely shady at best.
 
CUSTOMIZATION: It's for this reason that some of the most
advanced forms of credit restoration are done completely
customized for the client and even (in many cases) by hand.
  The best credit restoration companies I've seen are
usually run by one person or a small number of people and
are extremely customized for each client.  The is the most
effective but with effectiveness comes cost.  Every one of
these services I have seen charges a very large upfront fee
and works entirely off of referrals.  This type of service
is simply impossible to perform for $39 or even $49 a month.
 
Unfortunately, if you are unable to find someone in your
area (preferably an individual) by way of referral through
a friend, relative or professional contact, then I
recommend you take matters into your own hands and do it
yourself.  I realize most consumers do not want to hear
this but the good news is that it will almost always turn
out to be the highest paid work you will ever do in your
life. How high?  How does $500 to $2500 an hour sound?  I
understand that's a bold claim but not one I am unable to
back up.
 
If you're ever going to finance a first or second home
(which everyone eventually should for the tax breaks) the
difference between good credit and poor credit will affect
your interest rate.  If you secure a $200,000 mortgage on a
30 year term and your interest rate is only 2% lower
because of a high credit score, that 2% will save you
$96,934.11 over the course of the loan (just because you
had better credit).  Take that $96,934.11 and divide it by
the 30 to 50 hours you may spend working on your credit
situation and you'll quickly realize credit restoration
when done properly does not cost - it pays!
 
 
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The "CREDIT SECRETS BIBLE" has been in print since 1994 and
is published by Consumer Publishing Group. For more
information on the "CREDIT SECRETS BIBLE" you may visit:
 
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